Here’s How You Can Avail Govt’s Low-Cost Housing Finance Scheme From Banks

The government along with the State Bank of Pakistan (SBP) and commercial banks is working to introduce a low-cost housing finance scheme in Pakistan on a long-term basis.

The housing scheme is being designed in a way that people will repay the monthly installments for the house as they pay their house rents. This scheme will be based on easy loans from the banks, which will have a 50 percent lower interest rate compared to what the banks usually charge their customers.

The investors of real estate or high-income groups cannot avail the scheme. Banks will provide financing under a low-cost housing scheme to eligible individuals. The financing will be provided for govt schemes under the project of Naya Housing Schemes and other private projects.

Financing will be provided to old or new projects, and plot-owners to build their own house as well. The financing will be given for a maximum period of 25 years. The overall financing amount will be stretched between Rs. 2.7 million to Rs. 5 million for low-cost housing schemes.

Applicants must be first-time owners of the housing units. Individuals owning a home already are ineligible to apply whereas property investors and high-income groups will not be entertained by the banks.

Category A

  • The individual should be aged between 25 years to 60 years to apply.
  • An individual (salaried class or self-employed) with income ranging from Rs. 40,000 per month to 100,000 per month can get the financing facility for 850 square feet housing units.
  • An individual with his working wife will also be eligible to achieve the monthly income mark.
  • 5% interest on financing will be charged for a period of 5 years. 7% percent will be charged in the next five years and KIBOR plus 4 percent will be charged for the remaining period.
  • Individuals need to deposit Rs. 0.8 million of the cost of the housing unit as down payment (apartment or house). Banks will finance up to Rs. 2.7 million costs of the housing unit with a price of Rs. 3.5 million.
  • The financing is available for the housing units to be built by the government under Naya Pakistan Housing Authority.
  • The husband and wife can jointly apply for the housing finance to meet the criterion of monthly salary.

Category B

  • The individual should be aged between 25 years to 60 years to apply.
  • An individual (salaried class or self-employed) with income ranging from Rs. 40,000 per month to 100,000 per month could get the financing facility for 850 square feet housing units.
  • An individual with his working wife will also be eligible to achieve the monthly income mark.
  • 5% profit on financing will be charged for a period of 5 years. 7% percent will be charged in the next five years and KIBOR plus 4 percent will be charged for the remaining period.
  • Individuals need to deposit Rs. 0.5 million of the cost of the housing unit as the down payment (apartment or house). Banks will finance up to Rs. 3 million costs of the housing unit with a price of Rs. 3.5 million.
  • The financing is available for the housing units of the private projects.
  • The husband and wife can jointly apply for the housing finance to meet the criterion of monthly salary.

Category C

  • The individual should be aged between 25 years to 60 years to apply.
  • An individual (salaried class or self-employed) with income ranging from Rs. 100,000 per month to 140,000 per month could get the financing facility for an 1100 square feet housing unit.
  • An individual with his working wife will also be eligible to achieve the monthly income mark.
  • 5% profit on financing will be charged for a period of 5 years. 7% percent will be charged in the next five years and KIBOR plus 4 percent will be charged for the remaining period.
  • Individuals need to deposit Rs. 1 million of the cost of the housing unit (apartment or house) as the down payment.
  • Banks will finance up to Rs. 5 million of the cost of the housing unit with a maximum value of Rs. 6 million.
  • The husband and wife can jointly apply for the housing finance to meet the criterion of monthly salary.
  • The financing is available for the housing units of the private projects.

Local builders, mainly in big cities, are working to get cheap land from the government to build the housing units under the schemes. They plan to offer the housing units from Rs. 3 to 5 million to the customers depending on the cost of the construction and the price of the land.

The government will hand over the project to builders that offer the minimum price to the customers.


  • So you got have at least a million for you to get a loan that you’ll pay another million in interest over 2 decades of your life! KEWL AMRAN TIGER……..


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